British retailers are wasting on average £178,000 in failed e-commerce budget according to a study by Greenlight Commerce.
The study, which questioned 100 UK-based e-commerce decision-makers within the retail sector, reveals that “an internal war is waging within retail businesses as IT and marketing teams blame each other”.
More than a quarter (26%) of the marketing team blamed IT for project failure – while 30% of the IT team blamed marketing, and a further 15% blamed the C-suite.
With more than three quarters of all retailers (76%) planning to increase the number of e-commerce projects in 2019, Greenlight Commerce warns that retailers need to look at how they can bridge the disjoint within their organisations.
When it comes to hitting key objectives, the survey finds 18% of marketing and 11% of IT respondents expect to miss all key objectives of e-commerce projects in 2019. 14% of all respondents expect project waste due to poor planning, accounting for an average £105,000 and 13% expect waste due to poor execution, averaging at £111,000.
“These survey results reveal there are a number of core issues within businesses which are hindering the success of existing projects, as well as investment in new eCommerce projects. With an average of £¾ million in the eCommerce pot, it is vital that the C-suite provides the right leadership to ensure that different departments can address and rectify these problems,” said Kevin Murray, managing director, Greenlight Commerce.
“But with only 20% of respondents in IT roles saying the projects were excellently executed it’s a worrying contradiction. Senior management must ensure the rift between IT and marketing is healed and resources properly allocated between the different departments to drive success.”
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